Twiggy sticks a great big log up Rudd

[Eagle87]

So this $10.5 Billion or whatever it turns out to be, does the royalties rebate come out of that figure, or have the royalties already been accounted for?

Thats post royalties.

They are arguing that net of all changes the MRRT adds $10.5 billion to forward estimates. The RSPT was supposed to add $12 billion.

So despite all the changes its only reduced $1.5 billion.

But the reason behind this seems to be that the original number should have been $20 billion (instead of $12 billion) and they only figured that out this week, when in the middle of chats to miners.

So using the original numbers, without the 8 billion "fudge", this new measure raises $2.5 billion and they achieved that $2.5 billion by simply capping company tax at 29% and removing the tax credit for exploration costs.

To me, a mere punter, that sounds an awful lot like a complete backdown on the entirety of the RSPT revenue less a last minute fudge that Swan wont explain, wont provide figures for and wont provide modelling for. So it is either a great big new tax (and the RSPT would have been a monster great big new tax) OR its a complete and utter back down with some window dressing to save face and to blind people with bullshit.

You decide...

 

[TheGreatBarryB]

Any sources on that supposed error??

But that's still 10.5 bill more than Abbott, still a surplus by 2013. RSPT was just an ambit claim, screwed the miners, get re-elected, up mining tax, they complain, but so far from 2013 election that everyone forgets. Easy.

should change name of this thread to "Gillard sticks a great big log up Twiggy's/miners arse"

 

[Dawson]

I did hear a bit of chatter last night from someone who should know, that this tax will raise far more than the $10.5 bill, based on underestimations of the amount of ore that gets dug up - could be as much as $15 bill

Happy days

 

[Eagle87]

Any sources on that supposed error??

But that's still 10.5 bill more than Abbott, still a surplus by 2013. RSPT was just an ambit claim, screwed the miners, get re-elected, up mining tax, they complain, but so far from 2013 election that everyone forgets. Easy.

should change name of this thread to "Gillard sticks a great big log up Twiggy's/miners arse"

Well, I provided the link yesterday morning to the newspaper article. If you can be arced finding it, tough ....

The new tax starts on 1 July 2012, with first payments due in second half of 2013. How far is that from the 2013 Election?

The funniest part is that people aren't opposing big new taxes for no reason. There is competition for iron ore and coal deposit extraction in numerous countries. If ours becomes less profitable then new projects will go elsewhere. I have no idea, beyond vague notions, why anyone thinks damaging our most profitable sector for recurrent funding makes sense.

I am sure you are not capable of providing much ...

 

[Eagle87]

I did hear a bit of chatter last night from someone who should know, that this tax will raise far more than the $10.5 bill, based on underestimations of the amount of ore that gets dug up - could be as much as $15 bill

Happy days

So increased taxes are inherently good? Why reduce the company tax rates?

There seems a confused notion that reduced taxes are good for business, except for iron ore & coal, this is an odd position to take and damage to mining to fund expanding $1 m tuck shops is insanity ...

One day you will realize that.

 

[King Elvis]

I did hear a bit of chatter last night from someone who should know, that this tax will raise far more than the $10.5 bill, based on underestimations of the amount of ore that gets dug up - could be as much as $15 bill

Happy days

Not Swan then.